On 13 January 2021, by Order 107 of 12 January 2021, IVASS (the Italian insurance regulator) approved changes to its Regulation 14 of 18 February 2008 concerning portfolio transfers.
Who is affected by the changes?
The order affects:
- domestic (ie, Italian) insurers and Italian branches of third-country insurers involved in a portfolio transfer transaction; and
- those entitled to insurance benefits deriving from polices issued by the ceding undertaking.
The existing ban to transfer portfolios formed only of claims has been cancelled. The definition of 'portfolio' under Article 2(1)(f) of Regulation 14 has been amended accordingly.
What's the rationale of the changes?
The changes aim to allow greater flexibility in the management of insurance business and align the domestic rules to those in place in several European countries.
The new measure entered into force on 24 January 2021.
